Effect of Human Capital Investment on Work Performance for Small and Micro Enterprises in Hunan, China

Abstract

The research was to investigate actual effect of Human Capital Investment on Work Performance for Small and Micro Enterprises in China. The conceptual framework was developed from the literature review and survey in the area, and other contemporaneous research in tourism marketing. Accordingly, the researchers consider the importance of the factors of talent investment, training, health protection, salary and welfare, incentive investment, and work performance.
In this the researchers employed the quantitative research approaches. The instruments of research were steps of a questionnaire. Data were collected from 258 people who are entrepreneurs of small and micro business in Hunan of China. The data collected were analyzed using the path modeling and on the basis of observing the actual operational efficiency of the organizations studied through all operational links in the management of small and micro enterprises.
Findings are as follows: Applications of talent investment, training, health protection, salary and welfare, incentive investment, were explanatory of the variance in work performance at 35.1 percent (R2 = 0.351). Each factor involves significant aspects with the total being 28. All aspects should be addressed if problems are to be successfully solved over the long haul.